Video 6:21
Housing program

Louisa RebgetzUpdated
Sat 13 Mar 2010, 2:50 PM AEDT

How is the $672 million dollar housing program going?

Transcript

MELINDA JAMES, PRESENTER: First it was delays and cost blowouts, now it's the quality of the work. Some Northern Territory politicians are concerned building under the Federal Government's strategic Indigenous Housing and Infrastructure program isn't up to scratch. SIHIP is a high priority for the Territory Council of Co-operation, made up of government, opposition and independent parliamentarians. They decided to see for themselves whether the houses are meeting the standards on Groote Eylandt this week. Louisa Rebgetz reports.

GERRY WOOD, INDEPENDENT MLA: I'd say that if anyone from Darwin went out and looked at those houses they would say, Wow, they are well built.

ALISON ANDERSON, INDEPENDENT MLA: The impression I get is that they haven't done the work properly and it's taken too long.

ANDREW SCHROTH, EARTH CONNECT ALLIANCE: No significant delays. We're approaching completion now on our first houses on Umbakumba where we are now.

LOUISA REBGETZ, REPORTER: It's the most controversial and most scrutinised building project in the Territory's history. And this week a group of politicians visited Groote Eylandt to see first hand where things are at.

ANDREW SCHROTH: We're constructing 26 new homes. We're also building at least 75 refurbishment's and rebuilds, 50 of those will be refurbs, 25 rebuilds.

LOUISA REBGETZ: Those refurbishments and rebuilds were underway at the Groote community of Umbakumba in August last year. Houses were being gutted and completely refitted.

(7:30 REPORT 18.8.09): "We've widened the entrance doorway. This is her bedroom, we've made it a disabled bedroom also for her"...

LOUISA REBGETZ: Back then the $670 million program was being attacked by the then Labour Government, Minister Alison Anderson, who claimed that too much was being creamed off by the Northern Territory Government and consultants.

(STATELINE 4.12.09): "But for Alison Anderson, the fact that not a single house had been built under such a high profile scheme was emblematic of broader government mismanagement and spin"

LOUISA REBGETZ: Alison Anderson's critique led to a review by the commonwealth of the whole SIHIP project, and it soon became clear the program was heading for a cost blowout. Spending on individual new homes and refurbishments was scaled back.

(QUESTION TO ALISON ANDERSON) Do you reckon copper would be better?

ALISON ANDERSON: Absolutely, yeah. If you have a look at any house that's been built on any remote Aboriginal community for water, water piping has always been copper. Now this is a cheaper version of the copper piping, so that's where they are cutting back on the costs is by getting cheaper material.

LOUISA REBGETZ: Alison Anderson is now an Independent MLA and she remains the program's harshest critic. During her trip to Groote Eylandt this week, she seemed convinced the workmanship wasn't up to scratch.

ALISON ANDERSON: You can see that the bricks here are not even, so you've got a brick here sitting there higher than this one, this one is actually into the building and this one's actually higher.

BRENDAN OSTWALD: Structurally there's not a thing wrong with it because they are all core- filled blocks, so it's just the aesthetics of it that we are trying to make. No one should have to accept this..

LOUISA REBGETZ: The Country Liberals are also suspicious and look to find any fault possible with the new buildings.

JOHN ELFERINK, COUNTRY LIBERAL PARTY MLA: There have been issues with the joists supporting the floors of these houses, some of the laminated joists have given way. We've been told that they have been replaced but I still have some concerns about those joists.

ANDREW SCHROTH: The houses that we saw this morning were built from LVL beams, laminated veneer lumber. Some of those we detected splitting in their early days, we've spoken to the manufacturer about that, and found there to be a faulty batch which have been removed from those houses and replaced with quality timber.

LOUISA REBGETZ: New homes now have a maximum price tag of $450,000. But this home was budgeted for before the Commonwealth review and costs a lot more. The Alliance won't reveal how much but says those being built following the review won't be as large.

ANDREW SCHROTH: These houses will be a little smaller in size, they'll be approximately the same number of bedrooms and we've come up with a new design which incorporates a cluster house-type living. So, incorporating those smaller houses in a group formation will actually enable larger families still to live in close proximity to each other.

LOUISA REBGETZ: Earth Connect is the building contractor at Groote and Bickerton Islands. General Manager Andrew Schroth says despite the program's troubled beginnings, its workforce is 23% Indigenous and progress is good.

ANDREW SCHROTH: As far as construction activities are concerned, this is taking no more or no less than any other typical subdivision.

(QUESTION TO ANDREW SCHROTH): Have the community said anything to you, have they voiced concerns to you?

ANDREW SCHROTH: No, I've not heard of those concerns from the community.

ALISON ANDERSON: I think they've had delays in construction. They haven't been really honest with the community. I think the community's not aware and there hasn't been consultation process between the community and themselves.

(GERRY WOOD MAKING A COMMENT): "I could do with a house like this anytime, you haven't seen my place (laughs)"

LOUISA REBGETZ: Independent Gerry Wood led the delegation to Groote Eylandt. After his two-day survey he's happy the project is on track.

GERRY WOOD: I think somewhere along the line I think there's been a rumour going around and I'm a bit suspicious to whether that rumour is being deliberately put out to try and you know put down the program. Um, but having gone out there with a clear mind about what we were to look for, I didn't see any major problems at all.

LOUISA REBGETZ: The first new house on Groote Eylandt is due to be finished at the end of the month. And 16 others will follow. Eight refurbishments and six rebuilds have been completed.